Zensar Technologies to acquire Arizona-based M3bi; Stock surges nearly 8% so far today

Zensar Tech will acquire the entire share capital of M3bi.

May 17, 2021 02:05 IST India Infoline News Service

Zensar Technologies has entered into a definitive agreement to acquire M3bi, a Scottsdale, Arizona-based data engineering and digital engineering firm.

Under the agreement, Zensar Tech will acquire the entire share capital of M3bi Private Limited (“M3bi India”), and its wholly-owned subsidiary, Zensar Technologies Inc., will acquire the entire share capital of M3bi LLC. This acquisition will be completely funded by internal accruals.

Harsh Goenka, Chairman of RPG Enterprises and Zensar Technologies, said, “We are reinforcing our strategic growth charter with the acquisition of M3bi. Our acquisitions in recent years have enhanced our competitiveness, bringing value to our customers. The team steered by Anir and Suresh brings a combination of capabilities and strong client relationships to our fold.”

Ajay S. Bhutoria, Chief Executive Officer and Managing Director, Zensar Technologies, commented, “Data engineering and analytics and advanced engineering are key strategic growth opportunities for us. With the addition of M3bi’s capabilities, we will expand our offerings in this space to address the business-critical needs of our clients. Clients looking for large-scale digital transformation will be able to leverage our combined expertise. We are delighted to welcome the M3bi team to the Zensar family and look forward to working closely together to accelerate business growth.”

Suresh Potluri, Co-founder of M3bi said, “Our customers are some of the most well-recognized global brands. Our clients require advanced engineering skills to develop new platforms and data analytics solutions to make informed decisions to drive better customer experience and engagement. Zensar’s expertise in the digital technology space will add more depth to our customers.”

As per the regulatory filing, the addition of M3bi reinforces Zensar’s new strategy which focuses on areas of market opportunities that allow Zensar to concentrate organization resources, investments and alliances to deliver maximum business impact. In particular, M3bi strongly augments Zensar’s thrust in data engineering, analytics and AI/ML and advanced engineering services.

Also, the acquisition will add marquee clients to Zensar’s portfolio in both Banking, Financial Services & Insurance and other verticals, allowing Zensar and M3bi to jointly drive an expanded set of offerings to these global firms. One of the key tenets of Zensar’s strategy involves offering depth and scale in the areas of digital engineering and data and analytics, the core offerings of M3bi.

At around 2.25 pm, Zensar was trading at Rs283.40 per piece up by 5.5% on Sensex. The stock was trading near the day's high of Rs289.95 per piece. The stock has gained nearly 8% so far today. 

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